Organizational Government and Contract Administration. Enlightened policies by management, a counter-force in the form of a union, or both, can keep management from destroying important human values in the plant. In particular, in the firm an employee may be punished only for proved violations of known rules or standards, not at the discretion of a supervisor.

1. 1
Organizational Government and
Contract Administration
A principle function of management is to
direct the workforce….Employee welfare
is not their primary concern.
Remaining solvent and making a profit
is…..people are one of the many means
to that end.

2. 2
Organizational Government and
Contract Administration
Unions represent the presence of a
force capable of preventing
management from disregarding the
interests of its workers.

3. 3
Organizational Government and
Contract Administration
Many people feel it is pointless to live in
political democracy if the conditions of
their work life (in which they spend the
largest portion of their adult waking
hours) are dictatorial and deny freedom
and dignity.

4. 4
Organizational Government and
Contract Administration
Enlightened policies by management, a
counter-force in the form of a union, or
both, can keep management from
destroying important human values in
the plant.

5. 5
The Concept of Industrial or
Organizational Jurisprudence
The underlying idea is similar to that of
public government in a democracy in
that it is a “government of laws not of
men.”

6. 6
The Concept of Industrial or
Organizational Jurisprudence
In particular, in the firm an employee
may be punished only for proved
violations of known rules or standards,
not at the discretion of a supervisor.

7. 7
The Concept of Industrial or
Organizational Jurisprudence
Such conditions of law can exist
without a union, and where
management has established them the
urge of employees to unionize is
usually low.

8. 8
The Concept of Industrial or
Organizational Jurisprudence
It is worth noting that many plants have
a better system of Industrial
Jurisprudence for non-supervisory
employees than for members of
management.
Managers - at all levels - often have
little protection against arbitrary
treatment.

9. 9
The Concept of Industrial or
Organizational Jurisprudence
A significant difference between union
and non-union jobs is access to
Industrial Jurisprudence (due process).
This distinction is important because of
a common-law doctrine called:
Employment-at-Will

10. 10
The Concept of Industrial or
Organizational Jurisprudence
In the broadest sense, organizational
jurisprudence includes both the
establishment of workplace regulations
(contract negotiation) and their
interpretation and application (contract
administration).

11. 11
Contract Administration
A contract consists mainly of things
that management commits itself to do
for employees, and it may contain rules
limiting management’s freedom with
respect to employees.

12. 12
Contract Administration
For the most part, if management
satisfies the terms of the contract, no
further action is required until contract
expiration.

13. 13
Contract Administration
The aspect that requires attention
comes into focus when an employee
and the union claim that the employer
has not followed the contract, and they
institute action to remedy the situation.

14. 14
The Process of Continuous
Negotiation
The entire concept of plant governance
and contract administration can also be
thought of as one in which union and
management continue to negotiate
during the life of the agreement.

15. 15
The Process of Continuous
Negotiation
There are times when parties agree in
principle in formal negotiations and
leave the negotiation of the details of
implementation to later.

16. 16
The Process of Continuous
Negotiation
On other occasions, changing
conditions might suggest some timely
modifications to the existing
agreement.

17. 17
The Process of Continuous
Negotiation
With the period between negotiations
being used to identify and promote
meaningful dialogue around important
work place topics of mutual interest.

18. 18
Grievance Procedures
The specifics of a grievance procedure
are established by the parties when
they negotiate their collective
bargaining agreement.
Few procedures are identical.

19. 19
Grievance Procedures
Structure
A study of 400 union grievance
procedures in all industries showed
91% of all agreements had between two
(2) and four (4) steps, with the final step
being Arbitration.

20. 20
Grievance Procedures
Structure
Of the contracts specifying how the
grievance was to be presented (first
step), about half required that it be in
writing.

21. 21
Grievance Procedures
Structure
The amount of time allowed for bringing
or appealing a grievance varied, as did
the time allowed management to
respond, but most contracts specified
time limits.

22. 22
Grievance Procedures
Structure
Union failure to comply with any of the
time limits will usually result in
dismissal of the grievance without any
rights of appeal.

23. 23
Grievance Procedures
Structure
Management’s failure to observe time
limits usually is equated with grievance
denial giving the union the right to
appeal to the next higher step.

24. 24
Grievance Procedures
Structure
In most states, arbitrators’ decisions
are enforceable in court.
It is the sense of organizational
jurisprudence that no decision by an
arbitrator may add to, modify, or
subtract from the contract.

25. 25
Grievance Procedures
Structure
Otherwise the arbitrator has a wide
range of discretion at his or her
disposal.
Arbitrator’s decisions are intended to
be final and binding but on rare
occasions they are appealed (federal
courts).

26. 26
Grievance Procedures
Structure
What is a Grievance ?????
“a complaint by an employee, a
group of employees, the union, or
the employer, involving an alleged
violation or interpretation of any
provision of the agreement”.

27. 27
Grievance Procedures
Structure
In virtually all contracts containing
grievance procedures, individual
employees are the ones who have
the right to file grievances.

28. 28
Grievance Procedures
Structure
When management is dissatisfied
with an employee it exercises its’
authority and acts…..the
appropriate employee reaction is
the grievance.

29. 29
Grievance Procedures
Structure
Arbitrators have found that only certain
types of cases tend to occur frequently.
Those concerning:
Discipline, seniority rights, drug and
alcohol problems, subcontracting,
scheduling (overtime), job
classification, and work methods.

30. 30
A Method of Final Resolution
Arbitration
The vast majority of all grievances are
settled in the early stages of the
procedure.

31. 31
A Method of Final Resolution
Arbitration
However, when the parties are unable to
resolve their differences, they are likely
to end up in arbitration.
This is made more likely when you
consider that ninety-eight percent of all
union-management grievance
procedures contain arbitration clauses.

32. 32
A Method of Final Resolution
Arbitration
Management is able to extract a “No-
Strike” commitment from the union
because it is willing to guarantee to the
employee that all disputes arising in the
workplace are resolvable through a
grievance procedure that provides for
final and binding arbitration.

33. 33
A Method of Final Resolution
Arbitration
This process was further strengthened
in 1957 when the Supreme Court
decided that labor agreements were
binding contracts and agreements to
take disputes to arbitration could be
enforced.

34. 34
A Method of Final Resolution
Arbitration
In 1960 that same court made three
additional decisions, the so-called
Steelworks Trilogy cases, that
established the circumstances under
which the courts could compel
arbitration, and established the limited
basis upon which an arbitrator’s
decision could be appealed.

35. 35
A Method of Final Resolution
Arbitration
The NLRB also has a strong bias toward
the use of arbitration in the resolution of
disputes.
Even in cases where both the contract
and the Act may have been violated the
Board tends to defer to arbitration as
the best method of resolution.

36. 36
Arbitrator Selection
By prior agreement most unions and
management will use one of two
services:
FMCS
American Arbitration Association

37. 37
Arbitrator Selection
 List of arbitrators is requested (5-7)
 Each party strikes names
 Arbitrator selected / hearing date set
 Evidence and arguments presented at hearing
 The tone of hearing is set by arbitrator / parties
 Arbitrator charged with rendering an award
 Post hearing briefs required from each party
 Award is given in writing usually within 30 days
 The award is final and binding (limited appeal)

38. 38
Common Law in Organizational
Jurisprudence
As case after case is processed within a
company, the accumulated decisions can
constitute a common law, establishing
precedents for the detailed provision that
cannot be spelled out in contract.
Two distinct attitudes have arisen toward such
common law.

39. 39
Arbital Decision Making
Arbitrators are called upon to make two
kinds of judgements:
 “Just Cause” for discipline and
discharge. (Assumes Due Process)
 Contract Interpretation

40. 40
The Rules for Due Process
 Employee should know the rules and the
consequence of their violations.
 Employers responses to rule violations
should be consistent and predictable.
 Employee discipline should be based on
the facts.
 Employees should be given an
opportunity to question the facts and
present evidence on their side of the
story.

41. 41
The Rules for Due Process
 Employees should be able to appeal the
disciplinary decision.
 Employees should be given progressive
discipline.
 Each employee should be considered as
an individual.

42. 42
Standard for Interpreting Contract
Language
 The primary function of the arbitrator is
to carry out the mutual intent of the
parties as expressed in the agreement.
 If the language is not clear the arbitrator
may infer intent based on bargaining
history, discussions during negotiations,
and past practices.

43. 43
Standard for Interpreting Contract
Language
 If specific meanings are not given in the
contract, meanings may be derived from
general and specialized legal
dictionaries, and decisions of other
arbitrators.
 Where the contract contains both
general and specific language, the
specific tends to govern.

44. 44
Standard for Interpreting Contract
Language
 Where there is room for interpretation
and flexibility, arbitrators will take into
account reasonableness and fairness
when arriving at decisions.

45. 45
Duty of Fair Representation
In exchange for exclusive recognition,
an accompanying duty is placed upon
the unions to provide representation for
all employees in the bargaining unit
equally and fairly without regard to their
membership status.

46. 46
Duty of Fair Representation
As long as unions do not violate the
standards of “fair representation” they
are not legally bound to bring every
case to arbitration.
However, when the union ignores its
duty to fairly represent a bargaining unit
employee the aggrieved employee can
seek redress through the courts.

47. 47
Grievance Procedures
Non-Union Settings
In evaluating a grievance system, it is
important not to equate absence of
complaints with worker satisfaction.
The grievance process provides every
employee access to senior management
when they have serious complaints
about their treatment and/or general
conditions of employment.

48. 48
Grievance Procedures
Non-Union Settings
A grievance procedure in which
employees have full confidence is
difficult to create without a union.
Unless the process contains a third
party arbitration provision the employee
is ultimately faced with asking the
company to adjudicate his or her
complaint against “the company”.

49. 49
Grievance Procedures
Non-Union Settings
Non-union grievance procedures are
established for at least two reasons:
• To inhibit the desire among
workers for union representation.
• To improve employee performance
and in due course improve
productivity and efficiency.

50. 50
Grievance Mediation
An alternative to the standard grievance-
arbitration model is the introduction of a
mediation step into the procedure.
Mediation is used as the last step prior to
arbitration in which an interest based
resolution is sought hoping to find a more
effective resolution. If it fails arbitration
is still an option.